BIS General Manager to be on leave from 1 July 2008

Malcolm D Knight, General Manager of the Bank for International Settlements (BIS), today made the following statement to the press:

"As you already know, I have resigned as General Manager of the BIS in order to accept an appointment in the private sector as well as an appointment as visiting professor at a major university. My resignation, announced on 20 June, is effective as of 30 September 2008.

In order to ensure that there would be no conflicts of interest nor the perception thereof, cooling-off measures were put in place by the Chairman of the Board after being informed of my resignation. Appropriately, these measures restrict my involvement in sensitive matters, access to information and participation in certain meetings.

At its regular meeting yesterday, the Board of Directors of the BIS reviewed the implications arising from my resignation. In order to prevent any potential or perceived conflict of interest, both I and the Board felt that it would be in the best interest of both the institution and myself for me to no longer be actively involved in the management of the BIS. We agreed that I will be on leave with effect from tomorrow until the termination of my contract with the BIS at the end of September.

Consequently, as of 1 July 2008, Mr Hervé Hannoun, Deputy General Manager, will exercise, on an interim basis, the responsibilities of General Manager until the Board appoints a new General Manager."

The BIS Board of Directors has initiated the search process for a new General Manager.